Employer payroll taxes in Colorado for 2026
On top of each paycheck, a Colorado employer pays these taxes. None of them come out of the employee's pay. On a $60,000 salary they add $5,829.30 a year, so the employee costs $65,829.30.
| Employer tax | Rate | Wages taxed |
|---|---|---|
| Social Security | 6.2% | First $184,500 |
| Medicare | 1.45% | No limit |
| Federal unemployment (FUTA) | 0.6% | First $7,000 |
| Colorado unemployment (SUTA) | 3.05% for new employers | First $30,600 |
| CO FAMLI paid leave | 0.44% | First $184,500 |
Colorado unemployment tax (SUTA)
Colorado employers pay state unemployment tax on the first $30,600 of each employee's wages in 2026. A new employer starts at 3.05%, and experienced employers pay from 0.72% to 10.85% depending on their layoff history.
The 3.05% starting rate includes a 1.35% solvency surcharge that ends after 2026. Heavy construction starts at 6.285%.
Colorado paid leave and disability programs
The employer's share of these state programs is a payroll tax too. The calculator includes each one that applies to your headcount.
| Program | Employer rate | Wages taxed | Who pays |
|---|---|---|---|
| CO FAMLI paid leave | 0.44% | First $184,500 | Employers with 10 or more employees |
What an employee costs in Colorado
Yearly employer taxes and total cost for a single filer paid every two weeks, at the new-employer unemployment rate, for an employer with 10 employees. Benefits and workers' compensation insurance are extra.
| Salary | Employer taxes | Total cost | Added to pay | Employee take-home |
|---|---|---|---|---|
| $30,000 | $3,384.00 | $33,384 | 11.3% | $25,075 |
| $40,000 | $4,211.30 | $44,211 | 10.5% | $32,626 |
| $50,000 | $5,020.30 | $55,020 | 10% | $40,177 |
| $60,000 | $5,829.30 | $65,829 | 9.7% | $47,728 |
| $75,000 | $7,042.80 | $82,043 | 9.4% | $58,205 |
| $100,000 | $9,065.30 | $109,065 | 9.1% | $74,582 |
| $125,000 | $11,087.80 | $136,088 | 8.9% | $90,896 |
| $150,000 | $13,110.30 | $163,110 | 8.7% | $106,773 |
Withholding from Colorado paychecks
From the employee's pay you withhold federal income tax under the W-4, 6.2% Social Security, 1.45% Medicare and Colorado income tax, along with CO FAMLI paid leave. Employees checking their own pay can use the Colorado paycheck calculator. Running a bonus? Use the bonus payroll calculator.
Colorado employer taxes compared with nearby states
The same $60,000 employee, at each state's new-employer unemployment rate. Of the states that border Colorado, Utah has the lowest employer taxes.
| State | State unemployment | All employer taxes | Total cost |
|---|---|---|---|
| Colorado | $1,197.30 | $5,829.30 | $65,829 |
| Arizona payroll calculator | $160.00 | $4,792.00 | $64,792 |
| Kansas payroll calculator | $264.25 | $4,896.25 | $64,896 |
| Nebraska payroll calculator | $112.50 | $4,744.50 | $64,745 |
| New Mexico payroll calculator | $348.00 | $4,980.00 | $64,980 |
| Oklahoma payroll calculator | $375.00 | $5,007.00 | $65,007 |
| Utah payroll calculator | $0.00 | $4,632.00 | $64,632 |
| Wyoming payroll calculator | $0.00 | $4,632.00 | $64,632 |
Sources
Colorado unemployment and program rates come from the state's own 2026 figures: cdle.colorado.gov, cdle.colorado.gov, cdle.colorado.gov. Federal figures follow IRS Publication 15 and Publication 15-T. See how we calculate for the withholding method.